Is it Wise to Invest in Enova International (ENVA)?

Sterling Partners Equity Advisors, an investment management firm, published its fourth-quarter 2021 investor letter – a copy of which can be seen here. The Fund owns well-capitalized companies that earn good returns over cycles. They sell differentiated products and services that serve a niche, with a “moat” to quote Morningstar, and the fund buys them at what they believe are attractive prices. The fund will be looking for more of them in 2022. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.

Sterling Partners Equity Advisors, in its Q4 2021 investor letter, mentioned Enova International, Inc. (NYSE:ENVA) and discussed its stance on the firm. Founded in 2011, Enova International, Inc. (NYSE:ENVA) is a Chicago, Illinois-based financial technology company with a $1.2 billion market capitalization, and is currently spearheaded by its CEO, David Fisher. Enova International, Inc. (NYSE:ENVA) delivered a -5.49% return since the beginning of the year, while its 12-month returns are up by 8.89%. The stock closed at $38.71 per share on March 25, 2022.

Here is what Sterling Partners Equity Advisors has to say about Enova International, Inc. (NYSE:ENVA) in its Q4 2021 investor letter:

“Enova is a provider of online financial services to non-prime consumers and small businesses, providing access to credit powered by its advanced analytics, innovative technology, and world-class online platform.

Management reported strong top and bottom-line results during the quarter. The company’s accelerated marketing activities were successful in capturing new customers. Management indicated that those strong results would continue to the end of 2021.

Our thesis on Enova is that digital transactions will continue to move toward a dominant share of the financial industry, with a low-cost, high-service model.

Our calculations show that Enova International, Inc. (NYSE:ENVA) failed to obtain a mark on our list of the 30 Most Popular Stocks Among Hedge Funds. Enova International, Inc. (NYSE:ENVA) was in 16 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 20 funds in the previous quarter. Enova International, Inc. (NYSE:ENVA) delivered a -4.18% return in the past 3 months.

In May 2021, we published an article that includes Enova International, Inc. (NYSE:ENVA) in the 10 Small-Cap Stocks With Huge Growth Potential. You can find more than 100 investor letters from hedge funds and prominent investors on our hedge fund investor letters 2021 Q4 page.

Disclosure: None. This article is originally published at Insider Monkey.